1	Outsourced Services for the Hardgoods Retail Industry How Hardgoods Retailers can save time and money, and improve bottom line performance
2	What are the Services of Group CBF? Intelligent Margin Enhancement® (IME) Shelf / Bin Label production in conjunction with weekly price changes and IME. Reorder Point Establishment for Weekly Warehouse orders. Monitor and Measure® Performance tracking reports generated monthly from your information.
3	What are the Services of Group CBF? Inventory file “clean-up” for UPC codes, obsolete inventory items, location code establishment, and proper Department, Class and Fineline establishment. On-site coordination, management and physically providing services for taking an inventory. Equipment and or personnel can be provided. Real time financial reporting integration to a linked General Ledger program. Customized training in the advanced uses of various point of sale systems.
4	Why do Hardgoods retailers need outsourced services from Group CBF? Intelligent Margin Enhancement® considers similar and like items when changing retail prices. A cohesive marketing image is portrayed by clean, consistent bin/shelf labels. Ongoing margin improvement, not just a “one shot” correction insures ongoing success. A manageable and reasonable amount of in store labor dedicated to pricing management and changing labels on a weekly basis.
5	Why do Hardgoods retailers need outsourced services from Group CBF? Automated Reorder point establishment and Suggested Reordering to reduce out of stock situations. Inventory file clean-up which keeps Point of Sale errors to a minimum, improving customer service. Greater accuracy regarding Gross Margins for financial performance measurement.
6	What do Hardgoods retailers look for in Margin Enhancement? Careful consideration of THEIR market niche and LOCAL sensitivity, as well as THEIR product mix. An ONGOING process which constantly adjusts to THEIR conditions. A process which is transparent to the customer, and easy for store personnel to manage. A process which minimizes the weekly maintenance of price changes and maximizes profitability.
7	What do Hardgoods retailers look for in Stocking Levels Management? Reorder Point calculations which consider seasonality and promotion volatility. Restocking worksheets (when desired) which reflect new items as well as established items. Simple changes to their order which reflect “want book” or special order items. Weekly reports which show low or out of stock “A” movers.
8	What do Hardgoods retailers look for in Performance Monitoring? Timely reports allowing for quick reaction to situations. An easy to read Summary Report that shows the highlights, with the ability to “drill down”, if desired. Reports which can measure “Desired” versus Actual information.
9	What information comes in my monthly Monitor and Measurement® report? Net Sales, Cost of Sales, Purchases at Cost, Inventory Value (all by Department). A, B, C, D, X (Popularity) analysis by Sales Year to Date and Inventory Investment in each popularity category, by department. Items that have NOT had a price change in the last year. Number of out-of-stock items currently in the computer (QOH < 1). Overstock value (Total dollars in inventory above the Reorder Point considering Manufacturers minimum order quantity. Number of items with bad or missing information (bad pricing, bad UPC’s, no class or fineline). Sales of Generic items and Special Order items versus SKU’d items. And much, much more!
10	Why should a Retailer allow these services to be outsourced? The cost to the retailer in absolute payroll to have someone perform these services in house (exclusive of affixing labels) is prohibitive. The time the owner/manager spends with these activities which take away from customer relations management and employee management is not very productive.
11	What is the dollar value of Outsourcing to a Retailer Replaced Costs include: Payroll for someone to maintain the inventory files in the computer system. Payroll for someone to produce shelf labels as a result of price changes or an in-house program for margin enhancement. Time spent by a manager / owner reviewing price changes instead of working with customers or training employees.
12	Why Outsource to Group CBF? Group CBF brings more than 75 years experience in Hardgoods retailing and computer systems management. Group CBF has the ability to access the most common retailing systems. Group CBF is independent from any co-op, distributor or computer company. Group CBF provides solutions which can be custom tailored to the individual retailers situation.
13	How do the Benefits stack up? Improved turns means increased return on investment. Improved margins go straight to the bottom line. Reduced costs for payroll go straight to the bottom line. Timely reports allow for faster reaction to shifting sales patterns, increasing sales. Improved customer service from less stock outs can increase sales.
14	How does Group CBF work with my information? A one time complete extraction of the inventory file information is done by modem. Weekly and monthly information is also extracted by modem. Reorder Points, Price Changes and Intelligent Margin Enhancements® (IME) are put back into your system by modem. New Bin/Shelf labels for Price Changes and IME are sent overnight to your store. Monthly Monitor and Measure® reports are sent overnight at the end of the month showing your progress, and comparatives (last year, when available, sales budgets or Open to Buy).
15	How secure is my information? Group CBF provides the Retailer with a strict Confidentiality Agreement which would be grounds for severe penalties if violated. Automated procedures lend anonymity to the entire process.
16	What is a Retailer’s Monthly Investment? Intelligent Margin Enhancement® $150 per month Reorder Point Calculation Installation $50 per month Shelf / Bin Label Production $100 per month (includes mailing) Monitor and Measurement® Reports $125 per month (includes mailing)
17	What is a Retailer’s Monthly Investment? Drill Down Reports from the monthly Monitor and Measurement Report $15 each plus mailing costs
18	What is Investment in Other Services from Group CBF? Inventory “Clean Up” Services Quoted based upon needs Physical Inventory Services Quoted based upon needs Customized Training Services $80 per hour plus Travel or $600 per day plus Travel
19	"Thank You!" Thank You!